New Delhi: Against the backdrop of a sharp downturn in ties with the Donald Trump-led United States, India and the European Union on Tuesday announced
the successful conclusion of Free Trade Agreement (FTA) negotiations and signed a separate pact to formalise their security and defence partnership at the India-EU summit. Prime Minister Narendra Modi described the summit as a “tide-turning moment” that history would remember as the beginning of a new era in India-EU relations. He said India had finalised the largest free trade agreement in its history, one that would boost bilateral investment, foster new innovation partnerships and strengthen global supply chains. The FTA, Modi added, was not merely a trade deal but a blueprint for shared prosperity. Also Read:Cheaper BMWs, French Wine? What the India–EU Trade Deal Could Mean for You The summit, co-chaired by PM Modi alongside European Council President António Costa and European Commission President Ursula von der Leyen, delivered 13 “deeply strategic” outcomes. Among them was the signing of a mobility pact aimed at facilitating the movement of highly skilled professionals, researchers and students from India to Europe, as well as the adoption of a new joint comprehensive strategic agenda. Highlighting rising global turbulence, PM Modi said India and the EU shared a strong commitment to multilateralism and respect for international norms. He added that both sides were united in their belief that reforming global institutions was essential to effectively address the challenges of the current era. The Prime Minister said the “historic” FTA would provide Indian farmers and small enterprises easier access to European markets, open up fresh opportunities in manufacturing, and deepen cooperation across the services sector. European Commission President Ursula von der Leyen, in a pointed remark seen as a swipe at the United States, said the “mother of all deals” would help both sides reduce strategic dependencies at a time when trade is increasingly being weaponised. “It brings together India's skills, services and scale, with Europe's technology, capital and innovation. It will create levels of growth that neither side can achieve alone,” said the president. On the new defence partnership, PM Modi said it would strengthen cooperation in counterterrorism, maritime security and cybersecurity. PM Modi said defence and security form the bedrock of any strong partnership and would reinforce the shared commitment to a rules-based international order. He added that cooperation in the Indo-Pacific would deepen, while defence firms on both sides would gain fresh opportunities for co-development and co-production. The Prime Minister said two of the world’s largest democratic powers had come together to add a defining new chapter to their relationship. Speaking about the new “ambitious and holistic” strategic agenda for the next five years, the Prime Minister said that amid a complex global environment, it would offer clear direction, promote shared prosperity, accelerate innovation, strengthen security cooperation, and deepen people-to-people ties.
